BellSouth rolls out long-distance service in Georgia, Louisiana

ATLANTA (AP) -- BellSouth Corp. launched long-distance service Friday in Georgia and Louisiana, hoping to lure customers who have relied on the company for local calls for years.

BellSouth, the largest local phone provider in the Southeast, wants to offer long-distance service in each of its nine states. Federal regulators granted approval for the first two states earlier this month.

The next step will be convincing Georgia and Louisiana customers to switch from other long-distance providers. BellSouth plans to bait them with competitive calling plans and the prospect of an easier-to-understand phone bill.

"They're looking for ease. They're looking for simplicity," said Valencia Adams, BellSouth's chief operating officer for consumers. "The ability to have everything on one bill is absolutely an overwhelming offer for them."

Expansion into the long-distance market comes at a difficult time for BellSouth, which announced a week ago that it was cutting 4,000 to 5,000 jobs because of the weak economy, regulatory pressures and tough competition.

The cuts represent about 5 percent of the company's work force. BellSouth is offering severance packages to some workers and plans to begin layoffs in July if more cuts are needed.

BellSouth did not have an exact number of customers who signed up for long-distance service Friday, but said it was busy handling requests from both consumers and businesses.

On the business side, the first long-distance customer was Acadian Ambulance of Lafayette, La., which signed a contract just after midnight. The ambulance company and BellSouth established an enhanced 911 system for Lafayette.

For consumers, BellSouth will pitch its long-distance service as simplified, with no hidden taxes and fees, and calling plans tailored to fit individual needs -- similar to cell phone plans.

One plan, for example, offers 300 long-distance minutes a month for $19.95, with additional time billed at 7 cents per minute. Another offers a discount for long-distance calls made inside the state.

"We believe one of our primary advantages in delivering long-distance is that we have a superior understanding of our customers' needs," said Rex Adams, president of BellSouth long distance.

State regulators in Alabama, Kentucky, Mississippi, North Carolina and South Carolina have already approved BellSouth's request to offer long distance there.

The company will ask the Federal Communications Commission for approval for those five states next month, and the company wants to roll out long distance in those states by September.

State regulators in Florida and Tennessee are still considering the BellSouth request.

BellSouth shares were down 29 cents at $33.11 in late trading Friday on the New York Stock Exchange.